Understanding rollover in futures and options (F&O)

You might have heard the term “rolling over” in the context of futures contracts. In this video , Karthik explains what is rolling over and also the common mistakes when rolling over.
To learn more about futures, check out this Varsity module: zerodha.com/varsity/module/fu...

[@aruj_007]

Loved This!!!. Need more videos like these taught by Karthik himself! Kudos!

[@anushivaprasad6958]

Congratulations on 50k thank you zerodha for such wonderful knowledgeable series

[@PRESENTESFWI-gj6ei]

Zerodha charges a brokerage (0.25%) for delivery of future positions in stocks, though the brokerage for delivery transaction in cash market is NIL. This is an unfair practice by zerodha

[@triples5399]

Thank you Karthik sir for making this video

[@Sabyas_Hub]

Congratulations on 50K subscribers. Many more to come

[@altakarmakar3414]

so good teaching Vedio .Thank you sir .Expecting more

[@LAXMANKUMAR-rb9do]

Need more these types of more valuable video

[@BloodCovenant]

I want to make sure I understand. When you roll nifty that was opened at 17475 and had gained 125 points at the time for the roll. Once rolled you actually book the 125 points in profit and the 125 points gained are not carried over to the new contract. In other words, when rolling my position would no longer be from 17475. If this is correct, what makes this any different than simply closing the contract. Taking the profit. And opening a new contract? That is what it appears rolling is. If I am not carrying over my gains to the new contract, what good is rolling? This is the point of confusion for me.

[@Swat7551]

exactly, please answer to this question.

[@randomtrader8435]

I Like the no. of Views in the channel's Videos. I like to be in less crowded Area. Zerodha is Love💓

[@nageshboraiah5823]

I like the way you explained thanks

[@whatsigmund]

Futures also has option greeks. Fut price = strike price + ce price - pe price. If there is any difference arbitragers come in. Do synthetic futs, its cheaper

[@psingh2868]

Thanks for the content 🙏

[@kishore961]

Roll over of options is nothing but exiting the current month's position(doesn't matter it's losing/gaining) and initiate the position for the next month. Tip - Always execute both the legs(closing the existing postion and creating a new position in next month simultaneously)

[@Super.normalkid]

Add these videos on varsity module

[@RAKESHKUMARAM]

Nice content sir love ❤️ sir

[@gentlekannada]

Very calmly beautifully explained .excellent Emglish

[@RamaMohanReddy-zk5rr]

Nice and precise

[@g.k.1209]

Kindly explain with live example...do we have to place basket order?

[@shaileshdesai4054]

bless me sir.... bless you too

[@svkc69]

nice explanation

[@burandeaniket3868]

Very initiative

[@MsSumandas]

Master 🙏

[@ananthuskumar1286]

Super sir

[@AnandSingh-lk4vk]

Thanks sir

[@sajiths2246]

Sir, is there any extra margin needed for netted off long options positions in expiry day.

[@vasantlaljain6183]

Where can we see the roll-over percentage in the Zerodha app, Please guide sir, thank you in advance

[@nitesh0004]

how to excecute future roll over in zerodha app, pls make video on this....practical video

[@vineetverma4547]

Also, please can you share which all brokers offer Rollover feature in India?

[@akshathajd]

Hello sir, can u tell us how to prepare trading journal for the beginners

[@divyaalok5538]

Awesome

[@parthasarathyvenkatadri]

What is the leverage we are trading at ... When we trade in USDINR futures

[@Jas-fp4wq]

How can this be called a ROLLOVER ? If it means exiting n re-initiating Its simple maths Exit n enter Zerodha should include a rollover option in Trading window at a premium That will sound meaningful !

[@krutarth_suthar]

Look fit Guruji 👌💪💪💪💪

[@shripalshah7236]

In Future if we face liquidity problem then what to do ? If i work in banking future stocks then i have to face liquidity problem aur not?

[@vijaytvprogrammes1579]

Can i rollover the position in stock options which is running in loss?

[@user-eu4kz1dt1h]

If I sell a short Call Option that results to be ITM, and also I own 1 contract Long. What is the procedure on the assignment of the Short Call ... I think the broker will sell my Long position in order to buy at Expiration Date the shor call in order to be called away. Resulting my new position (contract) to be Short "a Sell". Im I correct? Thanks for your answer

[@kajamaideen5049]

Hi, No one is talking about the other side of the price. I mean, if the price is lower than what I purchased at the end of the contract period, what I have to do? Do I have to lose the difference? can I have the same position and pay the difference in the contract price? if any one knows please explain. Thanks.

[@alokdeshmukh6502]

Dear sir.thanks for the wonderful video. What is the average % rollover cost .?

[@varsitybyzerodha]

Hi Alok, it is the combination of factors, such as where the next month's futures is trading in relation to the current month futures contract or the premium you will have to pay/receive for options. In addition, brokerage and other charges for placing the orders will also build up to the cost.

[@FUNUNLIMITED-sl2fm]

Sir it is compulsory to rollover on Expiry and One day before Expiry. Or I can Roll over any Day before Expiry.

[@sachinchandel9481]

Sir, please make video's on option strategies

[@varsitybyzerodha]

Hi Sachin, we have a module on this: zerodha.com/varsity/module/option-strategies/

[@jayantjain6550]

🙏🙏🙏🙏🙏❤️❤️❤️❤️❤️

[@simpletutorial4123]

commodity expiry and rollover silvermic

[@AbhishekGupta-uu5gx]

As per example in video, if i am rolling over i will buy 17600 future next month?

[@varsitybyzerodha]

Hey Abhishek, that is correct.

[@Sourabh_Bansal]

Best video, superb presentation but why not in Hindi.... If you make videos in Hindi , I think a large crowd will get benifit and could take advantage of quality content made by you.

[@varsitybyzerodha]

Hi Sourabh, we'll look into the possibilities, thanks.

[@YASHKUMAR-mb4qo]

Sir can we buy far month contract and can roll over every three months instead of every month ???

[@JasonMomos]

Translation: It would be great to have more broke people and beggars in the cow belt.

[@glenjaceseda5526]

Liquidity chases liquidity😂😂😂😂😂😂❤❤❤

[@devamshah2214]

Why all stocks are not available for future trading?

[@varsitybyzerodha]

Hi Devam, the eligibility of a stock/index for trading in Derivatives segment is based upon a criteria laid down by SEBI. More here: www1.nseindia.com/products/content/derivatives/equities/selection_criteria.htm

[@srinivasanm6057]

How to use rollover, when I m holding stock futures of current month in losses, I expect to go up in next month, but thi month it's in loss. How to use rollover to avoid booking losses.. kindly update

[@varsitybyzerodha]

Hi Srinivasan, we've explained this here: support.zerodha.com/category/trading-and-markets/trading-faqs/f-otrading/articles/what-does-rollover-mean-and-what-are-the-charges-involved

[@arumitadhar3848]

Sir zerodha me future contact rollover kase kare ......

[@sanjeevn770]

Bhool jao rollover. Sell your existing position and buy a new position for the next month at same time - this is rollover.

[@nvdprasad2589]

is this rollover for options also !

[@varsitybyzerodha]

Hi Prasad, Rollover can only be done for futures and not for options.

[@mohansai1048]

Sir i have a doubt if you buy nifty futures at 17475 for 1 lot and it has closed at 17600 by the end of expiry which means you make a profit of 125 points which means 125×17475 = 21,84,375/- am i right

[@YASHKUMAR-mb4qo]

One lot of nifty have qty 50 50×125 6250 will be ur profit

[@mohansai1048]

@@YASHKUMAR-mb4qo Ok thanks

[@rajubairagi54]

Hindi video upload